Comments
Logistics and transport aggregator Logistics Junction (LJ) is planning to network 50 lakh vehicles across India, bringing on its platform about one lakh businesses in a business-to-business transportation model like cab aggregators Ola and Uber.
“While cab aggregators like Ola and Uber are, basically, local passenger transport solution providers, we are focusing on inter-city goods transportation model using technology,” B B Somani, CEO, Logistics Junction, told BusinessLine.
The Pune-based startup, incepted in January 2016, is a logistics and transportation aggregator bridging the gap among companies that need transport solutions and service providers. So far, it has empanelled 4,345 transporters, 2.13 lakh vehicles and 3,987 companies on its platform, he said.
The companies include manufacturers, traders, exporters, and transporters. It also enables load discovery for transporters.
About his business model, Somani said LJ gets a commission of 5% of freight charges from transporters.
The company aims to eliminate the redundant techniques in the transportation industry in India by employing a more technologically-evolved and viable infrastructure. It aims to ensure order transparency, real-time consignment tracking, reverse logistics, and security to meet the end-to-end logistics requirements of its consumers. Moreover, all the drivers on the platform are verified as per KYC norms and every vehicle is enabled with a Vehicle Tracking System (VTS) to provide security and a seamless experience.
LJ works primarily through a user-friendly mobile app, and is also accessible via desktops and laptops, he added.
Somani said the market size of India’s transportation industry is estimated at around Rs.10,000 crore per annum but it is not technologically efficient in many areas, leading to losses. LJ is now set to expand its reach through franchisees, the first of which will be started in Kolkata in October.
During the last couple of years, e-commerce has emerged as a major inter-city goods transportation business as also for local logistics.
For local goods transport aggregation, Somani said, LJ is also working out a different plan to network three-wheeler loading auto-rickshaws as well.
Comments
COMMENT NOW
Comments
Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.
We have migrated to a new commenting platform. If you are already a registered user of TheHindu Businessline and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.